JAKARTA (RambuEnergy.com) – State-owned electricity company PT Perusahaan Listrik Negeri (PLN) has signed syndicated loan facility worth US$1.62 billion from 20 international banks on Oct. 25, 2018, PLN said Monday (Nov. 5).
The company said the syndicated loan indicates international banks’ confidence on the company’s capability to serve its debts, despite recording a loss in the nine months period. In the nine months to September, PLN recorded net loss of Rp18.48 trillion, partly due to currency losses.
The loan facility consists of term loan worth US$1.32 billion with tenure of 5 years and revolving credit facility worth US$300 million with tenure of 3 years. The loan facility was higher than initial PLN’s plan of US$1.5 billion.
Acting as mandated lead arrangers and book runners (MLABs) are ANZ Group Ltd, Bank of China (Hong Kong Ltd), Citigroup, GLobal Markets Singapore Pte Ltd, Mizuho Bank, Ltd, OCBC ltd, Sumitomo Mitsui Bank Corporation Singapore Brnch/PT Bank Sumitomo Mitsui Indonesia, and UOB Ltd.
PLN Finance Director Sarwono Sudarto said the offshore syndicated loan is the first for PLN.
PLN will use the loan to fund the company’s projects related with the 35 GW power plant program. PLN has secured ratings from international rating agencies, including Baa2 from Moody’s, BBB from Fitch Ratings and BBB- from Standard & Poor’s.
Of the above loan facility, ANZ provided US$150 million, Bank of China (Hong Kong)/Bank of China Ltd, Jakarta branch US$150 million, Citigroup US$150 million, Mizuho Bank US$150 million. (*)